The evolution of cloud computing has changed the landscape of business with time. With various modifications like Software as a Service, more popularly known as SaaS, the technology has made it easier for organizations to maintain their infrastructures cost-effectively.

SaaS offers several benefits to organizations, ranging from economical models to scalability. However, no technology comes without its own set of challenges, and SaaS is the same. Some common problems surface with the implementation of SaaS that trouble businesses who plan to adopt it. In this article, we will talk about a few such issues and how you can fix them. Let’s begin.

  1. Lack of Control

Problem: Organizations lack control when it comes to SaaS implementation, mainly because reliance on a third-party vendor is crucial for successful adoption. This may lead to security breaches and service disruptions, which can ultimately cause monetary losses and wastage of time.

Solution: Signing and clearly understanding a service level agreement (SLA) should be your priority whenever you rely on a third-party vendor. It helps ensure that you’re receiving top-quality services without any ignorance from the vendor’s end.

  1. Internet Connection Requirements

Problem: The need for an internet connection at all times is probably the most significant drawback of SaaS implementation. It doesn’t enable employees to work offline. Employees need an internet connection to leverage the SaaS services. This drawback becomes exceptionally challenging for teams that aren’t stuck to a single area for working. Employees who are constantly traveling or on the move need to ensure a stable internet connection whenever they wish to access any SaaS service.

Solution: Microsoft’s Software plus Service (S+S) can be an excellent solution to this problem, as it removes the constraint of internet connection for leveraging SaaS benefits. S+S gives the best of both worlds, offering the benefits of a SaaS solution as well as on-premise software. 

  1. Lack of Clarity about Objectives and Purpose

Problem: Businesses usually lack clarity about the purpose behind implementing SaaS solutions. Many prefer to go by the trend without actually investing time into studying about their organizational requirements. Such a lack of clarity about the objectives and purpose of implementing SaaS solutions leads to confusion, mismatched expectations, and unsuccessful implementations.

Solution: Businesses must have a thorough understanding of what roles SaaS implementations will play in their organization. What data is going to be integrated with SaaS solutions? Why do you need a SaaS solution? What expectations do you have from the change? What kind of outcomes would you like to see? Will the SaaS solution work in isolation, or will it be integrated with other existing software? Gaining clarity on all such questions and setting up clear objectives before discussing the development and implementation of SaaS solutions is crucial. It will help you save time, effort, and monetary resources significantly.

  1. Data Safety Issues with Third-Party Vendors

Problem: Businesses that reach out to third-party vendors for the first time may make the mistake of assuming that their data is safe. This assumption may lead to a lack of concrete documentation regarding data privacy, leading to no contingency plans in case of breaches. Even if the vendor doesn’t harm your data intentionally, unexpected circumstances can occur, leading to loss of data.

Solution: No matter how reputed the third-party vendor is, you must not assume the safety of your data. You must set up detailed contingency plans for recovery and backup along with service level agreements (SLAs), especially if sensitive data is involved.

  1. Loss of Freedom and Independence

Problem: The necessity of partnering with a third-party vendor brings the loss of independence along with the lack of control. Businesses have to function and plan their SaaS-related initiatives according to the vendor. It can be very troublesome regarding payments, update controls, internal problems, etc. For example, vendors have different payment schemes, so you need to be highly on time with your payments in case of monthly packages to avoid losing services. On the other hand, if the vendor increases the rates to a price you can no longer afford, making a shift to another vendor can be a massive and highly troublesome undertaking. As long as a vendor is not breaching the terms and conditions, contract agreements, or service level agreements, they can call the shots up to a significant extent.

Solution: Organizations must invest time in detailed background checks and compatibility checks before partnering with a third-party vendor. SaaS implementation is a task that cannot be implemented solely by an organization, especially SMEs. External expertise and help are needed to ensure success in a timely manner. So, business leaders must conduct thorough background checks of third-party vendors they wish to partner with for SaaS implementation. Leaders must:

  • Verify the vendor’s portfolio
  • Ask for reviews about vendors in their network
  • Pay attention to the vendor’s experience and team structure
  • Ask for suggestions in their network
  • Take a look at their policies, etc.

All such efforts can help make sure that you’re partnering with a fitting third-party vendor for your organization so that all such problems can be reduced.


SaaS is a cloud-based service that offers exceptional benefits to organizations that adopt it. However, the challenges and pitfalls of this technology shouldn’t be ignored as well. 

The challenges mentioned in this article are some of the most common problems that organizations face with SaaS implementations. Understanding their solutions thoroughly and exploring ways to implement SaaS with minimal disruptions can quickly help you overcome these pitfalls. 

SaaS solutions are beneficial and can truly transform the way your organization functions. However, its benefits will remain relevant only if you tackle its pitfalls well. Thus, it requires certain focused efforts from your end for successful implementation.